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ITEM #: 23.
DATE: 03/28/2022

AI #:653
CITY COUNCIL ACTION REPORT
 
SUBJECT: DRAFT FY2022-2023 ACTION PLAN FOR HOUSING & URBAN DEVELOPMENT (HUD) COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM
 
STAFF PRESENTER(S): Christina Panaitescu, Grants and Neighborhood Services Supervisor

SUMMARY

Conduct a public hearing to receive input on the draft FY2022-2023 Action Plan for the HUD CDBG program. Comments on the draft plan will be incorporated into the final document, which will be brought to Council for adoption in May.

Recommendation

Receive public input regarding the draft FY2022-2023 Action Plan for the HUD CDBG program. (Christina Panaitescu, Grants and Neighborhood Services Supervisor)

FISCAL IMPACT

Once adopted, the Annual Action Plan will restrict how CDBG grant revenue can be expended. CDBG funds do not require a match from the city.

BACKGROUND AND PREVIOUS ACTIONS

The city of Goodyear began receiving a direct CDBG entitlement in city fiscal year (FY) 2022.

CDBG funds may be used for a variety of activities that meet the needs of low- and moderate-income (LMI) residents and neighborhoods, and vulnerable populations as defined by HUD. Eligible activities fall into four broad categories:
  1. Community Facilities and Infrastructure
  2. Community Services and Programs
  3. Economic Development
  4. Quality Affordable Housing
Activities must also address Congress' primary CDBG objective to improve communities, principally for LMI residents by:
  1. Providing Decent Housing,
  2. Providing a Suitable Living Environment, and
  3. Expanding Economic Opportunities.
At a February 28, 2022 work session, Council directed that the FY2022-2023 CDBG funds be utilized for childcare center renovations at New Life Center and CDBG program administration.

STAFF ANALYSIS

The city anticipates receiving approximately $429,038 of CDBG funds, 80% of which will be used for community facilities and 20% for program administration and planning. If the Goodyear allocation is higher or lower than anticipated, funds for each activity will be proportionately increased or decreased.

Community Facilities and Infrastructure ($343,231)
Childcare Center Renovations at New Life Center - Total Project Costs: $524,246
This project will provide significant reconfiguration and remodeling in the Child Development Center to address the needs of children with trauma informed care. 

Program Administration ($85,807)
Twenty percent of the total CDBG allocation will be set aside for administrative activities including:

1. Complying with federal regulations regarding environmental review, federal labor standards, financial management, and procurement, including policies regarding Minority- and Women-owned business enterprises and employment of low- and moderate-income residents;
2. Promoting the principles of fair housing and educating the community about the dangers of lead-based paint;
3. Assessing neighborhood conditions to evaluate the benefits of revitalization activities; Assessing the need for human and public services to address the needs of vulnerable populations and Goodyear residents living in poverty; and
4. Establishing application and monitoring systems.

This draft was made available for public comment on the city's website at www.goodyearaz.gov/cdbg  beginning on March 22 and will remain open to comment through April 20, 2022.

The Council will consider adopting the final FY2022-2023 Annual Action Plan at the May 2, 2022, Council meeting, enabling staff to meet the May 15 submission deadline from HUD.

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